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A BILL TO BE ENTITLED
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AN ACT
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relating to coverage of mineral interests in title insurance |
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policies, commitments, binders, and endorsements. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter A, Chapter 2551, Insurance Code, is |
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amended by adding Section 2551.004 to read as follows: |
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Sec. 2551.004. MINERAL INTERESTS. The commissioner shall |
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adopt and enforce rules that prohibit the exception or exclusion of |
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mineral interests from coverage under a title insurance policy, |
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commitment, binder, or endorsement. This prohibition also applies |
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to a renewal and extension of a commitment or binder. |
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SECTION 2. Section 2551.004, Insurance Code, as added by |
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this Act, applies only to a title insurance policy, commitment, |
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binder, or endorsement delivered, issued for delivery, or renewed |
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on or after January 1, 2010. A policy, commitment, binder, or |
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endorsement delivered, issued for delivery, or renewed before |
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January 1, 2010, is governed by the law as it existed immediately |
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before the effective date of this Act, and that law is continued in |
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effect for that purpose. |
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SECTION 3. This Act takes effect September 1, 2009. |